CFTC eyes limits in energy

July 08, 2009|By From news services

Federal regulators will examine whether the government should impose limits on the number of futures contracts in oil and other energy commodities held by speculative traders, the head of the Commodity Futures Trading Commission said Tuesday.

The move comes against a backdrop of concern in Congress and complaints by traders over speculation in the oil futures market that could be enough to artificially prop up energy prices.

The CFTC sets limits on futures contracts in agricultural products to protect the market against manipulation. But in energy, the exchanges set the position limits.